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Different Organisational Structures of Japan Germany and the UK


It is for this reason, that the competition in modern markets has become extremely high and the survival of companies within the international commercial marketplace has become a challenging target. On the other hand, the study of Gooderham et al. (1999, 507) proved that despite their very different assumptions, both rational and institutional explanations of organizational structure and management practices predict similarity among firms that operate in the same industry within the context of a simple country. In other words, the structural and operational patterns of firms worldwide are similar although significant differences in culture may exist. It should be noticed however that these similarities are limited. The differences in structure and operation of firms internationally can still be observed in accordance with the industry involved and the firm’s financial and operational competencies. In this context, it has been noticed by Douglas et al. (1989, 440) that differences in environmental conditions in different country markets, in terms, for example, of market size and growth, rate of technological change, or barriers to entry, may also lead to differences in strategy. In the area of corporate governance, these differences can lead to the formulation of particular corporate policies that will reflect the culture of the specific organization. This paper refers to the types of organizational structure in three countries (very powerful in terms of financial and political influence), the UK, Germany, and Japan. At the next level, the potential application of the 2004 OECD principles of corporate governance in the corporations operating in the above countries is being examined to the level.